The Results Are In: Businesses Say They’ll Switch to the USPS Due to FedEx and UPS Dimensional Weight Pricing

With FedEx and UPS recently applying dimensional weight pricing to all Ground shipments, many businesses are faced with the need to reconsider their shipping carriers and method of packaging.

In case you aren’t aware, dimensional weight pricing bases shipping costs on the volume of a package in relation to its weight. Therefore, shipping larger, lightweight products will cost significantly more than it did in 2014.

Endicia recently reached out to over 700 businesses to understand how they feel about the FedEx and UPS dimensional weight pricing and what they plan to do now that it is in effect.

For starters, our results show that 28 percent of online businesses hadn’t heard of dimensional weight pricing, which means they will probably only understand its impact once they see a price hike in their January 2015 invoice from FedEx or UPS.

Additionally, 74 percent of businesses disagree with dimensional weight pricing because they believe it is expensive and unfair to businesses and shippers.

So what do businesses plan on doing now that they are faced with these price hikes?

80% say they will use the U.S. Postal Service for their larger, lightweight packages.

Unlike FedEx and UPS, The U.S. Postal Service® did not increase shipping costs in January 2015. In fact, it reduced Priority Mail rates, making it an affordable option for businesses to ship heavier packages, up to 40 pounds. Lastly, the Postal Service does not apply dimensional weight pricing to packages up to one cubic foot in size.

For more results from our survey, check out the infographic below. And for more on dimensional weight pricing, read our recent blog post on the subject here.

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If you’re an eBay, Amazon, or Etsy seller, warehouse shipper, or an e-tailer of any sort, then you’ve come to the right place.

We created this blog to help businesses like yours learn the ins and outs of online shipping, catch and capitalize on the latest ecommerce trends, streamline and automate your services, and expand internationally.

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And if you’re a small to mid-sized business, we’ve certainly got you covered. Our resident experts, Ramon Ray and Rieva Lesonsky, are two of the most influential thought leaders in this space and are committed to helping you succeed.

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Looking for ways to go global with your small business? Our co-founder Amine Khechfé shares five strategies with Entrepreneur. ow.ly/pF9H30aFx18

Certified Mail, a special service offered by the U.S. Postal Service, provides proof of delivery or attempted delivery for First Class Mail and Priority Mail services. Learn more here: ow.ly/5QGy309RZaR

If you are trying to build customer engagement, generate more word-of-mouth referrals, and increase conversions, it’s time to start using customer-generated content. Here are just four ways you can begin using customer-generated content to market your online store: ow.ly/Zc8C309G3M7

If you’re serious about growing your business in 2017, now is the perfect time to give your e-commerce website an SEO audit. ow.ly/jkWd308CPzB

A quick video guide on how to set your mail class and printer preferences. Be able to set preferences on the postage you print the most frequently and set preferences on the printer used for the Postage Stamps, Shipping Labels, and Certified Mail tabs. https://www.dymostamps.com/

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